Amazon tells power-hungry governments to get stuffed

Amazon has rejected attempts by South American governments to make the would-be gTLD .amazon “jointly owned”.
In a letter to ICANN last week, Amazon VP of public policy Brian Huseman finally publicly revealed the price Amazon is willing to pay for its dot-brand, but said members of the Amazon Cooperation Treaty Organization are asking for way too much power.
It turns out three of ACTO’s eight national government members have proposed solutions to the current impasse, but Amazon has had to reject them all for commercial and security reasons. Huseman wrote (pdf):

Some member states require that we jointly own and manage the .AMAZON TLDs. Some require that we give the member states advance notice and veto authority over all domain names that we want to register and use—for both trademarked terms as well as generic words. Some suggest a Governance Committee can work only if it has governance that outweighs Amazon’s voice (i.e. the Governance Committee has a representative from one of each of the eight member states, while Amazon has one); and some want to use .AMAZON for their own commercial purposes.

From Huseman’s description, it sounds like the ACTO nations basically want majority control (at least in terms of policy) of .amazon and the Chinese and Japanese translations, applications for which have been essentially frozen by ICANN for years.
Huseman told ICANN that Amazon cannot comply.
If the company were to give eight South American governments advanced notice and veto power over .amazon domains it planned to register, it would make it virtually impossible to contain its business secrets prior to the launch of new services, he said.
The governments also want the right to block certain unspecified generic strings, unrelated to the Amazon region, he wrote. Amazon can’t allow that, because its range of businesses is broad and it may want to use those domains for its own commercial purposes.
Amazon has offered to block up to 1,500 strings per TLD that “represent the culture and heritage of the Amazonia region”.
Nine .amazon domains would be set aside for actual usage, one for ACTO and one each for its members, “that have primary and well-recognized significance to the culture and heritage of the region”, but they’d have to use those domains non-commercially.
The proposal seems to envisage that the countries would select their two-letter country code as their freebie domain. Brazil could get br.amazon, for example.
They could also select the names of Amazonian indigenous peoples’ groups or “the specific terms OTCA, culture, heritage, forest, river, and rainforest, in English, Dutch, Portuguese, and Spanish.”
They would not to be allowed to use third-level domains, other than “www”.
The governments would have up to two years to populate the list of 1,500 banned terms. The strings would have to have the same “culture and heritage” nexus, and Amazon would get veto power over whether the proposed strings actually meet that test.
As the whole policy would be enshrined as a Public Interest Commitment in the .amazon registry contract with ICANN, ACTO members would be able to protest such rejections using the PIC Dispute Resolution Policy.
Amazon would also get veto power over the content of the web sites at the domains used by the governments. They’d have to be basically static sites, and all user-generated content would be strictly verboten.
It’s a power struggle, with little evident common ground once you get down into the details, and it’s likely going to be up to ICANN to decide whether Amazon’s proposal is sufficient to overrule the ACTO and Governmental Advisory Committee concerns.
ICANN had set a deadline of April 21 to receive the proposal. The timetable it has previously set out would see its board of directors make a decision (or punt it back to Amazon) at the Marrakech public meeting in late June.
However, board chair Cherine Chalaby has told ACTO that if it wants to negotiate a joint proposal with Amazon, it can still do so. ICANN would need to receive this revised proposal by June 7, he said.

Neustar loses most of its Amazon back-end biz to Nominet

Amazon has switched two thirds of its large portfolio of new gTLDs over to Nominet’s back-end registry services, replacing Neustar.
Judging by changes to IANA records this week, Amazon has moved 35 gTLDs to Nominet, leaving 17 at Neustar.
A Neustar spokesperson confirmed the changes, telling DI:

in an effort to diversify their back-end support, Amazon has chosen to move some, but not all, of their TLDs to another provider. Neustar will still manage multiple Amazon TLDs after the transition and we look forward to our continued partnership.

The switch more than doubles Nominet’s number of TLDs under management. Its biggest customer to date was MMX, which pushed 20 of its TLDs to the .uk registry in a restructuring a few years ago.
The Amazon loss, and a few others recently, also mean that Neustar is by my back-of-the-envelope calculation no longer the largest back-end when measured by the number of TLDs under management.
Those bragging rights would go to Donuts, which self-manages its own rather large portfolio of 241 TLDs. Neustar would remain the largest provider in terms of service provided to third-party clients.
The Neustar-to-Nominet technical migration appears to have kicked off a couple of weeks ago and emerged Wednesday when Nominet’s Technical Contact information replaced Neustar’s in most of Amazon’s IANA records.
Customers will not have noticed, because the TLDs in question barely have any customers.
The only one of the 35 affected TLDs with any registrations at all is .moi, which has just a couple hundred domains in its zone.
The other affected TLDs, none of which have launched, are: .moi, .yamaxun, .author, .book, .buy, .call, .circle, .fast, .got, .jot, .joy, .like, .pin, .read, .room, .safe, .smile, .tushu, .wanggou, .spot, .tunes, .you, .talk, .audible, .deal, .fire, .now, .kindle, .silk, .save, .hot, .pay, .secure, .wow and .free.
The TLDs remaining with Neustar are: .bot, .zero, .ポイント, .書籍, .クラウド, .ストア, .セール, .coupon, .zappos, .ファッション, .食品, .song, .家電, .aws, .imdb, .prime, and .通販.
Six of the TLDs staying with Neustar have launched, but only one, .bot, has more than 100 registrations.
.bot is a tightly restricted, experimental space currently in a long-term “limited registration period” which is not due to end until next January. It has around 1,500 names in its zone file.
Four of Amazon’s dot-brands are staying with Neustar, which is probably the most enthusiastic cheerleader for dot-brands out there, and four are going to Nominet.
Neustar appears to be keeping all of Amazon’s internationalized domain names. Nominet currently manages no IDNs.
How important the adjustment is from a dollar perspective would rather depend on what the per-domain component of the deals were, and whether Amazon ever plans to actually make its gTLDs commercially available.
In recent weeks, XYZ.com also moved its recently acquired .baby gTLD from Neustar, where it had been an unused dot-brand, to preferred provider CentralNic, while .kred and .ceo, both under the same ownership, also switched to CentralNic.

.music update: I’m calling it for Costa

Amazon has pulled out of the fight for the .music gTLD, and I’m ready to call the race.
In full knowledge that this could be my “Dewey Defeats Truman” moment, it seems to me the balance of evidence right now is strongly pointing to a win for DotMusic over sole remaining rival bidder MMX.
The contention set originally had eight applicants, but six — Google, Donuts, Radix, Far Further, Domain Venture Partners and last night Amazon — have withdrawn over the last week or so.
This is a sure sign that the battle is over, and that the rights to .music have been auctioned off.
The two remaining applicants yet to withdraw are DotMusic Ltd, the Cyprus-based company founded and managed by music enthusiast and entrepreneur Constantinos Roussos, and Entertainment Names Inc, a joint venture managed by MMX (aka Minds + Machines).
One of them will withdraw its application soon, and my money’s on MMX.
Neither company will talk to me about the result.
But, as I observed Monday, DotMusic has recently substantially revamped its web site, and appears to be accepting “pre-registrations” for .music domains. These are not the actions of a loser.
MMX, on the other hand, has never shared Roussos’ public enthusiasm for .music and has never been particularly enthusiastic about winning private gTLD auctions, usually preferring instead to enjoy the proceeds of losing.
There are only two wildcard factors at play here that may soon make me look foolish.
First, the joint venture partner for Entertainment Names is an unknown quantity. Its two directors, listed in its .music application, are a pair of Hollywood entertainment lawyers with no previous strong connection to the ICANN ecosystem. I’ve no idea what their agenda is.
Second, MMX did not mention .music once in the “Post Period Highlights” of its recently filed 2018 financial results statement. It did mention the resolution of the .gay and .cpa contention sets, but not .music.
That filing came out April 3, at least a few days after the contention set had been won, but I’m assuming that the tight timing and/or non-disclosure agreements are probably to blame for the lack of a mention for .music.
So, on balance, I’m calling it for Roussos.
With a bit of luck we’ll have confirmation and maybe a bit of detail about potential launch dates before the week is out.

Did Roussos pull off the impossible? Google, Donuts, Radix all drop out of .music race

Google won’t be the registry for the .music gTLD.
The company, along with pure-play registries Donuts and Radix, late last week withdrew their respective applications from the .music contention set, leaving just three possible winners in the running.
Those are Amazon, MMX, and DotMusic, the company run by long-time .music fanboy Constantinos Roussos.
As I blogged last week, applications from Domain Venture Partners and Far Further have also been withdrawn.
I suspect, but do not know for a fact, that the contention was settled with a private deal, likely an auction, recently.
The logical guess for a winner would be Amazon, if only because of the nexus of its business to the music industry and the amount of money it could throw at an auction.
But I’m beginning to suspect that DotMusic might have prevailed.
The company appears to have recently revamped its web site, almost as if it’s gearing up for a launch.
Comparing the current version of music.us to versions in Google’s cache, it appears that the site has been recently given a new look, new copy and even a new logo.
It’s even added a prominent header link inviting prospective resellers to sign up, using a form that also appears to have been added in the last few weeks.
These changes all seem to have been made after the crucial ICANN vote that threw out the last of DotMusic’s appeals, March 14.
Are those the actions of an applicant resigned to defeat, or has Roussos pulled off the apparently impossible, defeating two of the internet’s biggest companies to one of the industry’s most coveted and controversial strings?
Participants in gTLD auctions typically sign NDAs, so we’re going to have to wait a bit longer (probably no more than a few days) to find out which of the remaining three applicants actually won.

ICANN plays tough over Amazon dot-brands

ICANN has given Amazon and the governments of the Amazon Cooperation Treaty Organization less than a month to sort out their long-running dispute over the .amazon gTLD.
The organization’s board of directors voted on Sunday to give ACTO and the e-commerce leviathan until April 7 to get their shit together or risk not getting what they want.
But both parties are going to have to come to an agreement without ICANN’s help, with the board noting that it “does not think that any further facilitation efforts by ICANN org will be fruitful”.
Attempts by ICANN to meet with ACTO over the last several months have been agreed to and then cancelled by ACTO on at least two separate occasions.
The eight ACTO governments think the string “Amazon” more rightfully belongs to them, due to it being the English name for the rain forest region they share.
Amazon the company has promised to safeguard culturally sensitive terms in .amazon, to assist with future efforts to secure .amazonas or similar for the Amazonian peoples, and to donate services and devices to the nations concerned.
Now, the two parties are going to have to bilaterally decide whether this deal is enough, whether it should be sweetened or rejected outright.
If they can’t come to a deal by ICANN’s deadline (which could be extended if Amazon and ACTO both ask for more time), ICANN will base its decision on whether to approve .amazon based on how Amazon unilaterally proposes to address ACTO’s concerns.
While a rejection of the .amazon application is still on the table, my read is that this is a bigger win for Amazon than it is for ACTO.

Updated: More .amazon delay as governments cancel talks

The future of Amazon’s bid for .amazon has been cast into more doubt after South American governments cancelled talks with ICANN.
The new secretary general of the Amazon Cooperation Treaty Organization, Alexandra Moreira, wrote to ICANN CEO Göran Marby February 13 to call off a meeting that had been planned to take place in Brasilia, February 19.
She blamed unspecified “unavoidable circumstances” for the cancellation, but insisted it was unrelated to the .amazon issue.
“It is necessary to clarify that the above mentioned circumstances have no connection whatsoever with neither the substance nor the agenda of the postponed meeting,” she wrote.
I believe the cancellation is related to the ongoing political instability in ACTO member Venezuela, which has recently spilled onto its borders with fellow members Brazil and Colombia.
Moreira reiterated that ACTO remains committed to talks to get the .amazon impasse resolved.
The cancellation of the February 19 meeting causes timing issues for ICANN’s board of directors, which has promised to vote on the .amazon applications at its meetings in Kobe, Japan, at ICANN 64, which kicks off in less than two weeks.
Brazilian Governmental Advisory Committee representative Achilles Zaluar has meanwhile reached out to Marby to request a delay of this decision until ICANN 65, which takes place in June.
Eight-nation ACTO is unhappy with Amazon’s encroachment onto what it sees as its geographic name rights, even though the Amazon region is typically known as Amazonia locally.
Amazon has offered to protect culturally sensitive terms at the second level and to support future efforts to secure a .amazonia TLD.
But its latest offers have still not been formally presented to and discussed with ACTO.
This post was updated an hour after publication to provide additional context to the cancellation.

After ICANN knockback, Amazon countries agree to .amazon talks

Talks that could lead to Amazon finally getting its long-sought .amazon gTLD are back on, after a dispute between ICANN and eight South American governments.
The Amazon Cooperation Treaty Organization last week invited ICANN CEO Goran Marby to meet ACTO members in Brasilia, any day next week.
It’s not clear whether Amazon representatives have also been invited.
The outreach came despite, or possibly because of, ICANN’s recent rejection of an ACTO demand that the .amazon gTLD applications be returned to their old “Will Not Proceed” status.
In rejecting ACTO’s Request for Reconsideration, ICANN’s board of directors had stressed that putting .amazon back in the evaluation stream was necessary in order to negotiate contractual concessions that would benefit ACTO.
Amazon is said to have agreed to some Public Interest Commitments that ACTO would be able to enforce via ICANN’s PIC Dispute Resolution Process.
The e-commerce giant is also known to have offered ACTO cultural safeguards and financial sweeteners.
ACTO’s decision to return to the negotiating table may have been made politically less uncomfortable due to a recent change in its leadership.
Secretary-general Jacqueline Mendoza, who had held the pen on a series of hard-line letters to Marby, was in January replaced by Bolivian politician Alexandra Moreira after her three-year term naturally came to an end.
ICANN’s board has said it will look at .amazon again at its meetings in Kobe, Japan, in March.

ICANN puts deadline on .amazon talks

ICANN’s board of directors has voted to put a March deadline on talks over the future of the .amazon gTLD.
Late last week, the board formally resolved to “make a decision” on .amazon at ICANN 64, which runs in Kobe, Japan from March 9 to March 14.
It would only do so if Amazon the e-commerce giant and the eight governments of the Amazon Cooperation Treaty Organization fail to come to a “mutually agreed solution” on their differences before then.
CEO Goran Marby is instructed to facilitate these talks.
Here are the relevant resolved clauses from the resolution:

Resolved (2019.01.16.03), the Board hereby reiterates that Resolution 2018.10.25.18 was taken with the clear intention to grant the President and CEO the authority to progress the facilitation process between the ACTO member states and the Amazon corporation with the goal of helping the involved parties reach a mutually agreed solution, but in the event they are unable to do so, the Board will make a decision at ICANN 64 on the next steps regarding the potential delegation of .AMAZON and related top-level domains.
Resolved (2019.01.16.04), the Board encourages a high level of communication between the President and CEO and the relevant stakeholders, including the representatives of the Amazonian countries and the Amazon corporation, between now and ICANN 64, and directs the President and CEO to provide the Board with updates on the facilitation process in anticipation of revisiting the status of the .AMAZON applications at its meeting at ICANN64.

The vote came following ACTO’s demand that ICANN reverse its decision to take .amazon, and Chinese and Japanese translations, off their “Will Not Proceed” status, which heavily implied they will ultimately end up in the root.
ACTO, which claims its members have a greater right to the string due to its geographical and cultural significance, says it has not yet agreed to Amazon’s peace offering, which includes safeguards, financial support for future gTLD applications, and free Kindles.
The ICANN board has now formally rejected the demand — so .amazon is still officially on the path to delegation — but has published mountains of clarification explaining that ACTO misinterpreted what the status change implied.
The board now says that the status change was necessary in order for ICANN to negotiate the inclusion of Public Interest Commitments — PICs, which would give ACTO the right to challenge Amazon if it breaches any of its cultural safeguards — in the .amazon contracts.
With ACTO’s Request for Reconsideration now dealt with, the ball moves into ACTO’s court.
Will ACTO come back to the negotiating table, or will it retain the hard line it has been adopting for the last few months? We’ll find out before long.

.amazon domain isn’t a slam dunk after all

Amazon’s application for the .amazon dot-brand may not be as secure as it was thought, following an ICANN decision over the Christmas period.
Directors threw out a South American government demand for it to un-approve the .amazon bid, but clarified that ICANN has not yet made a “final decision” to allow the gTLD to go live.
The Board Accountability Mechanisms Committee formally rejected (pdf) a Request for Reconsideration filed by the Amazon Cooperation Treaty Organization, which is made up of the governments of the eight countries near that big foresty, rivery, basiny thing, on December 21.
ACTO had asked the board to overturn its October resolution that took .amazon off its longstanding “Will Not Proceed” (ie, rejected) status and put it back on the path to delegation.
Secretary general Jacqueline Mendoza last month blasted ICANN for multiple “untrue, misleading, unfortunate and biased statements”, in connection with ACTO’s purported acquiescence to the .amazon bid.
Refusing ACTO’s request, the BAMC stated that ACTO had misinterpreted the resolution, and that ICANN did not intend to delegate .amazon until Amazon the company and ACTO had sat down to talk about how they can amicably share the name.
The October resolution “could have been clearer”, the BAMC said, adding:

the Resolution was passed with the intention that further discussions among the parties take place before the Board takes a final decision on the potential delegation of .AMAZON and related top-level domains. The language of the Resolution itself does not approve delegation of .AMAZON or support any particular solution. Rather, the Resolution simply “directs the President and CEO, or his designee(s), to remove the ‘Will Not Proceed’ status and resume processing of the .AMAZON applications.”

There are pages and pages of this kind of clarification. The committee clearly wants to help to smooth over relations between ICANN and the governments.
On the face of it, there’s a slight whiff of ret-conny spin about the BAMC recommendations.
There’s some ambiguity in the public record about what the ICANN board actually voted for in October.
Shortly before the ICANN board voted to resume processing .amazon, CEO Goran Marby stated, in front of an audience at ICANN 63 in Barcelona, both that a decision to delegate was being made and that ACTO was still at the table:

what we in practice has done is, through facilitation process, constructed a shared delegation of .AMAZON where the company has or will provide commitments to the ACTO countries how the .AMAZON will be used in the future. And the decision today is to delegate it, forward it to me to finalize those discussions between the company and those countries.
And I’m also formally saying yes to the invitation to go to Brazil from the ACTO countries to their — finish off the last round of discussions.

While the new clarifications seem to suggest that ACTO still has some power to keep .amazon out of the root, the BAMC decision also suggests that the full board could go ahead and approve .amazon at the ICANN 64 meeting in Japan this March, with or without governmental cooperation, saying:

the BAMC recommends that the Board reiterates that the Resolution was taken with the clear intention to grant the President and CEO the authority to progress the facilitation process between the ACTO member states and the Amazon corporation with the goal of helping the involved parties reach a mutually agreed solution, but in the event they are unable to do so the Board will make a decision on the next steps at ICANN 64 regarding the potential delegation of .AMAZON and related top-level domains. The BAMC encourages a high level of communication between the President and CEO and the relevant stakeholders, including the representatives of the Amazonian countries and the Amazon corporation, between now and ICANN 64.

If you’ve not been following the story, ACTO has concerns about .amazon due to its similarity to the name of the rain-forest region.
Amazon the company has promised to encode cultural safeguards in its ICANN contract and offered to donate a bunch of free stuff to the countries to sweeten the deal
The current Amazon offer has not been published.
The BAMC recommendation will now be considered by the full ICANN board, which is usually just a formality.

Governments blast ICANN over Amazon gTLDs

ICANN seems to have found itself in the center of a diplomatic crisis, after eight South American governments strongly denied they approve of Amazon being given the .amazon gTLD.

The Amazon Cooperation Treaty Organization, along with the government of Brazil, blasted ICANN CEO Goran Marby for multiple alleged “untrue, misleading, unfortunate and biased statements”, in a December 7 letter  (pdf) published yesterday.

ACTO claims that ICANN was “premature” and “ill-informed” when its board of directors un-rejected Amazon’s gTLD applications in an October resolution.

In bruising terms, the letter goes on to criticize Marby for failing to set up promised talks between ACTO and Amazon and then characterizing “informal” conversations with Brazil’s Governmental Advisory Committee rep as if they represented ACTO’s collective view.

It’s just about as harsh a critique of ICANN management by governments I’ve read.

Amazon, the retailer, has been trying to get .amazon, along with transliterations in Chinese and Japanese scripts, since 2012.

Its applications were rejected — technically, placed in “Will Not Proceed” status — after GAC advice in July 2013. The advice was full-consensus, the strongest type, after the lone holdout, the United States, at the time trying to win support for the IANA transition, bowed out.

The advice came because the ACTO countries believe “Amazon” is a geographic string that belongs to them.

But Amazon filed an Independent Review Process appeal with ICANN, which it won last year.

The IRP panel declared that the GAC advice was built on shaky, opaque foundations and that the committee should not have a blanket “veto” over new gTLD applications.

ICANN has ever since been trying to figure out a way to comply with the IRP ruling while at the same time appeasing the GAC and the ACTO countries.

The GAC gave it a little wriggle room a year ago when it issued advice that ICANN should “continue facilitating negotiations between the [ACTO] member states and the Amazon corporation”.

ICANN took this to mean that its earlier advice to reject the bids had been superseded, and set about trying to get Amazon and ACTO to come to an agreement.

Amazon, for its part, has offered ACTO nations a suite of cultural protections, an offer to support future applications for .amazonia or similar, and $5 million worth of products and services, including free Kindle devices.

It has also offered to bake a collection of Public Interest Commitments — these have never been published — into its registry contract, which would enable ACTO governments to bring compliance actions against the company in future. 

That proposal was made in February, and ICANN has supposed to have been facilitating talks ever since.

According to a timeline provided by Marby, in a November letter (pdf) to ACTO secretary general Jacqueline Mendoza, ICANN has been working in this facilitation role since November 2017.

Problem is, at almost every step of the way it’s been dealing with Brazilian GAC rep Benedicto Filho, rather than with Mendoza herself, apparently on the assumption that when he made noises favorable to the Amazon proposal he was speaking for ACTO. 

And that’s not the case, according to Mendoza and Filho, in the newly published letters.

Whatever input Filho had was in the context of “informal and general conversations in which it was repeatedly and clearly indicated that no country had any mandate to negotiate on behalf of the other members of ACTO”, Mendoza wrote.

Filho himself goes on to accuse Marby of several “gross misrepresentation[s]” and “flagrant inaccuracies”, in an increasingly strident set of three emails forward by Mendoza to Marby.

He claims that he informed Marby every step of the way that he was not authorized to speak on behalf of ACTO, and that the idea he was involved in “obscure and secret negotiations” is “offensive”.

It seems that either one or both men is bullshitting about the extent to which Filho represented himself as an ACTO rep, or there has been a genuine breakdown of communication. For want of any definitive evidence, it seems fair to give them both the benefit of the doubt for now.

The situation as it stands now is that ACTO has called off planned peace talks with Amazon, facilitated by Marby, and has filed a Request for Reconsideration in an attempt to overturn the ICANN board’s October resolution.

Mendoza says ACTO will not engage in talks concerning .amazon until this request has been processed. 

So the fate of .amazon now lies with ICANN’s Board Accountability Mechanisms Committee, which is responsible for rejecting processing reconsideration requests. The test is usually whether the requester has brought new information to light that was not available when the board made its decision.

BAMC can either figure out a way to accept the request and put .amazon back in its “Will Not Proceed” status, smoothing out the path to negotiations (re)opening but placing Amazon back in indefinite limbo, or it can reject it and risk ACTO walking away completely.

It’s a tricky spot to be in, and no mistake.